Bitfinex, the cryptocurrency exchange, asked its customers in Ontario to withdraw all their funds on or before March 1, 2022, reports Cointelegraph.
Consumers of crypto exchange Bitfinex, based on the most populous exchange in Canada, will no longer have access to exchange services as of March 1.
The exchange did not give a reason for this step. Bitfinex has asked all of its consumers in Ontario to withdraw their funds from the crypto platform by March 1.
From January 15, 2022, customers without account balance will have their accounts closed. As a result, consumers who do not have an open position on the exchange’s peer-to-peer financial markets lose access to those markets. Furthermore, consumers without an open margin position will no longer have access to margin or borrow.
The OSC declined to comment on Bitfinex’s decision, and Bitfinex did not disclose any further details.
The OSC declined to comment on Bitfinex’s decision, while Bitfinex did not immediately respond to a request for more details.
OSC, the region’s financial watchdog responsible for the sudden move
Although Bitfinex did not give a reason for the abrupt decision, knowledgeable sources said that the Ontario Securities Commission, or OSC, the region’s financial watchdog, has been responsible for cracking down on crypto exchanges operating in the region. It includes OKEx, By bit, KuCoin and Polo Digital Assets.
Massive cryptocurrency exchange, Binance has been notified by the Ontario Securities Commission that it is still unregistered in the province.
The measure was taken after the exchange told customers that it had reversed its previous decision to suspend their accounts. Binance later claimed that there was “misinformation” in the process.
The crypto giant also said it will seek an object with the Ontario Securities Commission (OSC) to clear up misunderstandings.
Bitfinex also faces the wrath of US regulators
Bitfinex has also faced outrage from US regulators. In October 2021, the Commodity Futures Trading Commission fined the cryptocurrency exchange and its sister company Tether $42.5 million. Bitfinex has been accused of illegal retail foreign exchange transactions using digital assets with US residents. The two companies had to pay $18.5 million in damages. The two companies have also been called by the New York Attorney General’s Office to submit periodic reports on their reserves.